Trump announces 35% tariff on Canada
US weekly jobless claims slip to 7-week low
US dollar index heads for best week in nearly 5 months
July 11 – Gold rose on Friday after U.S. President Donald Trump announced new tariffs on Canadian imports and broader tariff threats to other trading partners, but gains were capped by a stronger dollar amid mounting signs of turmoil in global trade landscape.
Spot gold rose 0.3% to $3,333.67 per ounce as of 0245 GMT. U.S. gold futures added 0.6% to $3,345.10.
On Thursday, Trump said U.S. would impose a 35% tariff on imports from Canada and planned to impose blanket duties of 15% or 20% on most other trade partners.
This follows Wednesday’s announcement of a 50% tariff on U.S. copper imports and a similar levy on goods from Brazil, along with tariff notifications sent earlier to other trading partners, including Japan and South Korea.
All newly announced tariffs will take effect on August 1.
“Despite Trump’s tariff wars picking up steam again, gold hasn’t gotten the boost it previously has because investors are becoming more accustomed to both the tariff story and Trump’s policy-making style,” KCM Trade Chief Market Analyst Tim Waterer said.
The U.S. dollar index was on track to record its best weekly performance since the week of February 24, making gold more expensive for international buyers.
“The move north by the dollar in unison with gold probably limited the size of the gains in the precious metal,” Waterer said.
Weekly jobless claims in the U.S. fell unexpectedly to a seven-week low, indicating stable employment levels despite a cooling labour market and signalling no urgency for the Federal Reserve to resume cutting interest rates.
Gold, often considered as a safe-have asset during economic uncertainties, tends to do well in low-rate environment.
The White House launched a fresh attack on Fed Chair Jerome Powell on Thursday, with a senior official saying Powell had “grossly mismanaged” the central bank, citing deficits and cost overruns.
Spot silver gained 0.4% at $37.17 per ounce, platinum fell 0.2% to $1,358.61 and palladium rose 0.2% to $1,143.55.
This article was generated from an automated news agency feed without modifications to text.
